--snip- To understand how big of a deal this is, you need to understand that Apple, the worlds most profitable technology company, works through a large and complicated array of offshore companies to hold its taxable profits overseas.

By creating subsidiaries in tax havens like Ireland, Luxembourg, the British Virgin Islands and the Netherlands, the company saves billions in taxes.

The author thinks hiding money offshore is a problem, but he doesn’t understand how to solve it. If the United States was the lowest cost place to do business and pay taxes, all that hidden money would come onshore with the click of a mouse button.

The author thinks hiding money offshore is a problem, but he doesnt understand how to solve it. If the United States was the lowest cost place to do business and pay taxes, all that hidden money would come onshore with the click of a mouse button.

7
posted on 05/05/2013 12:58:50 PM PDT
by null and void
(CA State Moto: "We have no idea right now where they were going or where they were coming from")

Just like when Reagan greatly reduced capital gains tax rates...suddenly a gusher of “locked up” capital gains was freed to be redeployed into better investments. Leftists will never understand human behavior when it comes to money or yearning for freedom and shunning despots and tyranny.

To understand how big of a deal this is, you need to understand that Apple, the worlds most profitable technology company, works through a large and complicated array of offshore companies to hold its taxable profits overseas.

I still don't understand why it is a big deal. It's legal. It's good business practice to employ favorable tax provisions.

In the larger picture, Apple makes much better use of it's revenue than the government. And that is to the advantage of everyone for them to do so.

12
posted on 05/05/2013 1:49:20 PM PDT
by oldbrowser
(We have a rogue government in Washington)

So stop whining and compete! Those “tax havens” only attract profits because they aren’t as greedy in the taxation of it. Why do you feel entitled to cut yourself as big a chunk of someone else’s pie as you want, then complain when he seeks out better associates? Seems like YOU’RE the problem and trying to blame the victim (or his other friends that DON’T screw him) for it.

13
posted on 05/05/2013 1:50:54 PM PDT
by Still Thinking
(Freedom is NOT a loophole!)

Good for Apple. If all our corporations had been this intelligent, the Federal government would have been forced to do less and we would have more freedom. Handing your hard-earned profits over to these scoundrels so they can buy votes is worse than flushing them down the toilet.

IOW, buy Apple stock -- particularly if you're happy when someone figures out how to stick it to the feds. :')

One big problem: the per share price of Apple is so high that it's hard for many smaller investors to buy it in the usual amounts of 100 shares. Maybe there is some reason that they let the per share price go so high without a stock split.

Stick it to the feds? Not sure about that. Don't know this for a fact, but my intuitive guess would be that Apple's board of directors (like many big tech companies) is composed of a majority of Democrats.

I don’t see what the big deal is. The U.S. government shouldn’t get their hands on money Apple earned overseas, that Apple is reinvesting overseas. On money earned in the U.S., yes, but no elsewhere. Apple is a world-wide company, building infrastructure elsewhere for supporting sales elsewhere. No different than Ford or Coca-Cola building factories in China and Africa to do business there. This is not new, lots of U.S. companies have done this for many years.

Disclaimer:
Opinions posted on Free Republic are those of the individual
posters and do not necessarily represent the opinion of Free Republic or its
management. All materials posted herein are protected by copyright law and the
exemption for fair use of copyrighted works.